Saving/Applying for a mortgage 2015/16/17/18/19

Creamy Goodness

quick question about the valuer's report.

the reinstatement value is a bit lower than the purchase price around 69%. is that ok? Also the report also says under "services" it says oil is not available but then under "central heating fuel" it has oil ticked. it also mentions there's no utility room but there's one in the kitchen with a studded partition wall. Would these account for 69% valuation. I realise some value is taken away for land/labour etc.

amcalester

Creamy Goodness wrote: »

quick question about the valuer's report.

the reinstatement value is a bit lower than the purchase price around 69%. is that ok? Also the report also says under "services" it says oil is not available but then under "central heating fuel" it has oil ticked. it also mentions there's no utility room but there's one in the kitchen with a studded partition wall. Would these account for 69% valuation. I realise some value is taken away for land/labour etc.

The purchase price will include the site whereas the re-build won't.

There's a rebuild calculator here that you can use to estimate the cost.

Creamy Goodness

amcalester wrote: »

The purchase price will include the site whereas the re-build won't.

There's a rebuild calculator here that you can use to estimate the cost.

Ah perfect using that and selecting Dublin (it's not Dublin area but it's the closest) inputting the SQ. Metres and hit calculate I get a figure only 4k short of the reinstatement cost. that's without adding anything extra for kitchen/flooring/fence etc.

Thanks for the speedy response, has put my mind at ease.

Bawnmore

TheShow wrote: »

In all my years of dealing with mortgages and loans these are the most cumbersome clauses. How much do you want the house and have you enquired about other houses in the area if it has been possible to get the enurement annulled?

We've just found out about the enurement clause so haven't checked anything out yet really. Our engineer mentioned that a few he's been involved with have had planning accepted with the clause lifted as they were the old "indefinite" enurement clauses which has since changed. We'll just have to wait and see I guess.

EDIT: from recent planning applications (here) including request of removal of enurement clause, they seem to all be successful. They all have conditions, but they seem to be related to the work in the planning application rather than specifically around the enurement.

loriexxx

this may be a stupid questions, if we have mortgage approval for say 230000, have a deposit of 24000, help to buy approval of 12,000 and the new build house costs 266000, could we buy this.

amcalester

loriexxx wrote: »

this may be a stupid questions, if we have mortgage approval for say 230000, have a deposit of 24000, help to buy approval of 12,000 and the new build house costs 266000, could we buy this.

If you also have c. €6.5k for stamp duty and legal fees.

What about furnishings?

Glen_Quagmire

Have a mortgage offer from Bank of Ireland on a new build which is valid for 6 months. I don't think they house will be built within 6 months so I will have to apply for an extension or new offer. Two questions;

1. Is the process easy to get an extended loan offer? What does it entail?

2. I've an email from the bank saying the valuation only lasts 4 months so I will have to get another valuation again before drawdown. What exactly does that mean? I thought a valuation was done when the house was built and you have to use one of the valuers the bank have on their list and pay them 150 for it. What other valuation are they referring to that lasts 4 months?

GingerLily

amcalester wrote: »

If you also have c. €6.5k for stamp duty and legal fees.

What about furnishings?

You'll need a good bit to kit out a new build, flooring alarm and window dressing would be the biggest costs

amcalester

GingerLily wrote: »

You'll need a good bit to kit out a new build, flooring alarm and window dressing would be the biggest costs

Tell me about it.

Creamy Goodness

Glen_Quagmire wrote: »

Have a mortgage offer from Bank of Ireland on a new build which is valid for 6 months. I don't think they house will be built within 6 months so I will have to apply for an extension or new offer. Two questions;

1. Is the process easy to get an extended loan offer? What does it entail?

2. I've an email from the bank saying the valuation only lasts 4 months so I will have to get another valuation again before drawdown. What exactly does that mean? I thought a valuation was done when the house was built and you have to use one of the valuers the bank have on their list and pay them 150 for it. What other valuation are they referring to that lasts 4 months?

A1. As long as your circumstances haven’t changed or if the bank hasn’t changed their affordability calculator then it’s as simple as supply up to date documents like payslips/etc.


A2. Yes the valuation should only be done when the builder has said the house is complete and has invited you to snag. I wonder did they just send out a generic letter or one in mistake. If you get a valuer out before the house is complete you run the risk of the valuation being lower than what it would be if it was complete.

You’ll be surprised at what can happen in 6 months on a building site. I bought off plans and the house barely had walls and I just completed my snag there last week.

Glen_Quagmire

Creamy Goodness wrote:

A2. Yes the valuation should only be done when the builder has said the house is complete and has invited you to snag. I wonder did they just send out a generic letter or one in mistake. If you get a valuer out before the house is complete you run the risk of the valuation being lower than what it would be if it was complete.

That's the part that's confusing me, the offer letter states the initial valuation only lasts 4 months. What exactly did they base this valuation on, would it be the show house?

hanaimai

Glen_Quagmire wrote: »

Creamy Goodness wrote:

A2. Yes the valuation should only be done when the builder has said the house is complete and has invited you to snag. I wonder did they just send out a generic letter or one in mistake. If you get a valuer out before the house is complete you run the risk of the valuation being lower than what it would be if it was complete.

That's the part that's confusing me, the offer letter states the initial valuation only lasts 4 months. What exactly did they base this valuation on, would it be the show house?

Our mortgage offer is with Ulster Bank so they organised the valuation for the loan offer - from what I can see the valuer just rang the estate agent, found the details of the house type and filled in a report. Our house wasn't finished at the time. Ulster Bank said they will do another valuation before drawdown (i.e. when the house is done).

Amirani

Any healthcare professionals on here have experience applying for a mortgage? Talking specifically about NCHDs who would tend to be on either 6 or 12 month contracts, how do banks tend to treat these?

fungie

Amirani wrote: »

Any healthcare professionals on here have experience applying for a mortgage? Talking specifically about NCHDs who would tend to be on either 6 or 12 month contracts, how do banks tend to treat these?

There is a lot of info on the doctor's res facebook page about this. I suggest you look there but to some up, yes you can, but best use a broker that deals with doctors.

Gavin "shels"

Work expenses from your personal card/bank - how much would the banks frown upon this?

Doop

Gavin shels wrote: »

Work expenses from your personal card/bank - how much would the banks frown upon this?

Cant see the problem? I use my personal card for approx €500 a month and claim it back... Bank never questioned it cant see why they would, they dont know whats work related and whats not.

Gavin "shels"

Doop wrote: »

Cant see the problem? I use my personal card for approx €500 a month and claim it back... Bank never questioned it cant see why they would, they dont know whats work related and whats not.

Grand - cheers!

purpleisafruit

Gavin shels wrote: »

Work expenses from your personal card/bank - how much would the banks frown upon this?

Bank told me that CC is seen as revolving debt and unless you're up around the limit all the time, it isn't an issue.
I'm the same as you with regards expenses. Can put up to 3-4k on card and claim it back

borus22222

Quick question, what would be a standard solicitor fee I should expect in north Dublin? Straight foward sale - first time buyers with no HTB no exemptions. 400k house?

ELM327

purpleisafruit wrote: »

Bank told me that CC is seen as revolving debt and unless you're up around the limit all the time, it isn't an issue.
I'm the same as you with regards expenses. Can put up to 3-4k on card and claim it back

I was at 50% of my limit (€7k CC outstanding on a €12.5k card) and it was an issue, it affected my ability to repay as they count 6% of the outstanding balance each month.

ELM327

borus22222 wrote: »

Quick question, what would be a standard solicitor fee I should expect in north Dublin? Straight foward sale - first time buyers with no HTB no exemptions. 400k house?

As a seller or a buyer?
My solicitor fees as a first time buyer were approx €2k all in excluding stamp duty.

cindycindy

good price

Rfrip

Posted here about two wks ago that mortgage protection was all sorted. They declined me at the last hurdle, bank wouldn’t proceed with mortgage without it. Thought I could get a waiver but that was a no go. Only sorted it out today, the relief I feel right now is an understatement
Would advise anyone to go with chill insurance. They were brilliant

dudara

Gavin shels wrote: »

Work expenses from your personal card/bank - how much would the banks frown upon this?

I don’t have a work credit card (no benefit to having one as our credit card scheme is self-paid not company-paid), so I use my two credit cards all the time when travelling. I just make sure to pay it all off promptly once the expense claims are reimbursed. I’d have €1k/week often in expenses.

This was not an issue when we applied.

myshirt

borus22222 wrote: »

Quick question, what would be a standard solicitor fee I should expect in north Dublin? Straight foward sale - first time buyers with no HTB no exemptions. 400k house?

How do you know it will be a straight forward sale if you don't have the legal qualification to make that judgement?

It may not be. I've come across some difficult ones with various legal issues on them, and planning.

In any event, you are talking 2k plus VAT, incidentals, and outlay at the lower end. And 3 to 3.5 plus VAT at the higher. You shouldn't really see it get more expensive than that unless you are dealing with a right dog.

Trimm Trabb

Question re being in overdraft - I’ve got 2 bank accounts one of which I get paid into and all my direct debits and savings come out of which should look fine.

But I have a second account that I have been intending to close but haven’t because it is a few hundred euro in overdraft and I haven’t had the spare cash (with all the saving) to bring it to 0 and close it.

But we have everything else in place to apply for mortgage now and are going to bank next week - supposing I clear the overdraft and close the account will that be something that would stop me getting approved?

Our 2 main accounts are with AIB and that’s where we are going for mortgage and the overdraft account is with Ulster Bank.

purpleisafruit

ELM327 wrote: »

I was at 50% of my limit (€7k CC outstanding on a €12.5k card) and it was an issue, it affected my ability to repay as they count 6% of the outstanding balance each month.

Prior to submitting my application, I discussed this with my bank and it was all put on the file for underwriters by the mortgage advisor. My CC is generally only used for work purposes so it wasn't an issue in my case.

nim1bdeh38l2cw

Anyone recommend a broker for an IT Contractor (umbrella company director)

soc

Trimm Trabb wrote: »

Question re being in overdraft - I’ve got 2 bank accounts one of which I get paid into and all my direct debits and savings come out of which should look fine.

But I have a second account that I have been intending to close but haven’t because it is a few hundred euro in overdraft and I haven’t had the spare cash (with all the saving) to bring it to 0 and close it.

How can you have savings and still an overdraft?
Your 'spare cash' (i.e. your savings) is what you use to pay it off. Why on earth put money into savings when this is still there?
Overdraft is a debt....and this will affect future mortgage applications

Glen_Quagmire

Is it normal for the builder when agreeing terms in the contract for a new build in a development to request the buyer to sign and agree there is no subject to loan clause in the contract?